ACB <strong>GM</strong>O testing on food products in South AfricaYear of test Product <strong>GM</strong> content2012 Futurelife 100% <strong>GM</strong> maize, 37% <strong>GM</strong> soya2012 Bokomo wheat free Pronutro 90% <strong>GM</strong> maize, 71% <strong>GM</strong> soya2012 Nestle Cerelac infant cereal 76% <strong>GM</strong> maize2012 Impala maize meal 66% <strong>GM</strong> maize2013 Purity Cream of <strong>Maize</strong> 56% <strong>GM</strong> maize2013 Purity Baby First 71% <strong>GM</strong> maize2013 Ace super maize meal 78% <strong>GM</strong> maize2013 Ace maize rice 70% <strong>GM</strong> maize2013 Ace instant porridge 68% <strong>GM</strong> maize2013 Lion samp and beans 48% <strong>GM</strong> maize2013 Jungle Breakfast 41% <strong>GM</strong> maize2013 Nyala super maize meal 87% <strong>GM</strong> maize2013 White Star super maize meal 72% <strong>GM</strong> maize2013 Premier Course Braai Pap 55% <strong>GM</strong> maize2013 Woolworths super maize meal 79% <strong>GM</strong> maize2013 Iwisa super maize meal 81% <strong>GM</strong> maize<strong>GM</strong> <strong>Maize</strong>: Lessons for Africa 29
What has become clear is that, labelling ornot, for the majority of South Africans whoeat maize meal on a daily basis there is noalternative to eating <strong>GM</strong> food.THE BIG THREEThe three largest maize millers in South Africaare also among the largest food companiesin the country, producing some 60% of thenation’s maize meal between them. TigerBrands is considered the largest fast movingconsumer goods (FMCG) company on theAfrican continent, where all three companieshave been expanding their operations in recentyears.In March 2007 the Competition Commissioninitiated a complaint against all threecompanies, as well as Foodcorp, Pride Millingand Progress Milling in respect of allegedcollusive activities in the maize millingindustry. The investigation subsequently spreadthroughout the industry, to include: BlinkwaterMills, Godrich Milling, TKW Milling, KeystoneMilling, Westra Milling, Carolina Rollermeule,Brenner Mills, Paramount Mills, NTK Milling,Kalel Mills, Bothaville Milling, and AllemBrothers. 134The Commission’s investigations revealed thatover an eight-year period, from 1999–2007,cartel members held numerous meetings andtelephonic discussions in which they agreedto fix the price of both wheat and white maizeproducts and to create uniform price lists forwholesale, retail and general trade customers.They also agreed on the timing of priceincreases and their implementation. Premierwas granted immunity from prosecutionin exchange for co-operating with theCommission, while Tiger, who also co-operated,agreed to a fine of R98 million. Pioneer Foods,who chose not to co-operate, eventuallysettled with the Commission for a whopping R1billion. 135Following the Competition Commission’sfindings four major members resigned fromthe National Chamber of Milling (NCM)amidst concerns over information sharing.Consequently, the NCM, which represented85% of the maize milling industry in 2003, 136was forced to cease issuing monthlyinformation on staple food trends in SouthAfrica. 137 Though discussions between the NCMand the Competition Commission have beenongoing, and Premier Foods returned to theNCM in 2013, at the time of writing the issueremains unresolved. 138In June 2013 a Constitutional Court judgementopened the way for a group of small breaddistributors from the Western Cape to launch aclass action against Pioneer, Premier, and TigerBrands. 139Revenue (R 000s), and profit margins (%) for Tiger Brands, Pioneer and PremierYear Tiger Brands Pioneer Foods Premier FoodsTotalRevenueOp.profitmarginMillingandbakingprofitmarginTotalRevenueOp.profitmarginSasko(milling&baking)RevenueAfter taxprofit2012 22 771 15.3 22 18 609 6.2 9.5 5,731 -92011 20 479 15.9 22.3 16 853 7.3 9.7 4,896 2032010 19 378 15.6 23.3 15 731 9.3 11.8 5,298 572009 20 643 15.5 18.5 16 283 7.4 10.4 5,575 802008 20 126 13.3 12.9 14 884 5.8 7.6 No data No dataSource: company financial statements30 AFRICAN CENTRE FOR BIOSAFETY
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